Investors Relishing Buffett's Bid for Heinz

By

Miriam Gottfried

Feb. 14, 2013 3:39 p.m. ET

Buy high, sell higher?

Warren Buffett's latest monster deal, to buy H.J. Heinz for $28 billion including debt, comes after the shares had risen in a pretty straight line over four years to an all-time high. And Berkshire Hathaway, alongside partner 3G Capital of Brazil, added a 20% premium for good measure.

The buyers are paying up for an iconic brand and a strong record of expansion—with 30 consecutive quarters of organic...